THE PETROLEUM AND MINERALS PIPELINES                                              

(ACQUISITION OF RIGHT OF USER IN LAND) ACT, 1962 
___________ 

SECTIONS 

ARRANGEMENT OF SECTIONS 
_________ 

1.  Short title, extent and application. 
2.  Definitions. 
3.  Publication of notification for acquisition. 
4.  Power to enter, survey, etc. 
5.  Hearing of Objections. 
6.  Declaration of acquisition of right of user. 
7.  Central Government or State Government or corporation to lay pipelines. 
8.  Power to enter land for inspection, etc. 
9.  Restrictions regarding the use of land. 
10.  Compensation. 
11.  Deposit and payment of compensation. 
12.  Competent authority to have certain powers of civil courts. 
13.  Protection of action taken in good faith. 
14.  Bar of jurisdiction of civil courts. 
15.  Penalty. 
16.  Certain offences to be cognizable. 
16A. Burden of proof in certain cases. 
16B. Presumption regarding property. 
16C. Provisions as to bail. 
16D. Section 438 of the Code of Criminal Procedure, 1973 not to apply. 
17.  Power to make rules. 
18.  Application of other laws not barred. 

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THE  PETROLEUM AND MINERALS PIPELINES                                              

(ACQUISITION OF RIGHT OF USER IN LAND) ACT, 1962 

ACT NO. 50 OF 1962 

[7th December, 1962.] 

An  Act  to  provide  for  the  acquisition  of  right  of  user  in  land  1[for  laying  pipelines  for  the 

transport of petroleum and minerals] and for matters connected therewith. 

BE it enacted by Parliament in the Thirteenth Year of the Republic of India as follows:— 

1.  Short  title,  extent  and  application.—(1)  This  Act  may  be  called  the 2[Petroleum  and  Minerals 

Pipelines] (Acquisition of Right of User in Land) Act, 1962. 

(2) It extends to the whole of India except the State of Jammu and Kashmir*. 

(3) It applies in the first instance to the whole of the States of West Bengal, Bihar, Uttar-Pradesh and 
Gujarat and the Union territory of Delhi, and the Central Government may, by notification in the Official 
Gazette, declare that this Act shall also apply to such other State of Union territory and with effect from 
such date as may be specified in that notification and thereupon the provisions of this Act shall apply to 
that State or Union territory accordingly. 

2. Definitions.—In this Act, unless the context otherwise requires,— 

(a) “competent authority” means any person or authority authorised by the Central Government, 
by notification in the Official Gazette, to perform the functions of the competent authority under this 
Act 3[and different persons or authorities may be authorised to perform all or any of the functions of 
the  competent  authority  under  this  Act  in  the  same  area  or  different  areas  specified  in  the 
notification;] 

 (b) “corporation”  means  any  body  corporate  established  under any  Central,  Provincial  or  State   

Act, and includes— 

(i) a company formed and registered under the Companies Act, 1956 (1 of 1956); and 

(ii) a company formed and registered under any law relating to companies formerly in force in 

any part of India;  

3[(ba) “minerals” have the meanings assigned to them in the Mines Act, 1952 (35 of 1952), and 

include mineral oils and stowing sand but do not include petroleum;] 

(c) “petroleum” has the same meaning as in the Petroleum Act, 1934 (30 of 1934), and includes 

natural gas and refinery gas; 

(d) “prescribed means prescribed by rules made under this Act. 

 3. Publication of notification for acquisition.—(1) Whenever it appears to the Central Government 
that  it  is  necessary  in  the  public  interest  that  for  the  transport  of  petroleum 4[or  any  mineral]  from  one 
locality to another locality pipelines may be laid by that Government or by any State Government or a 
corporation and that for the purpose of laying such pipelines it is necessary to acquire the right of user in 

1. Subs. by Act 13 of 1977, s. 2, for “for laying petroleum pipelines” ( w.e.f. 3-2-1977). 
2. Subs. by s. 3, ibid., for “Petroleum Pipelines” ( w.e.f. 3-2-1977). 
3. Ins. by Act 13 of 1977, s. 4 (w.e.f. 3-2-1977). 
4. Ins. by s. 5, ibid. (w.e.f. 3-2-1977). 
*. Vide notification No. S.O. 3912(E), dated 30th October, 2019, this Act is made applicable to the Union territory of Jammu and 

Kashmir and the Union territory of Ladakh.   

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any land under which such pipelines may be laid, it may, by notification in the Official Gazette, declare 
its intention to acquire the right of user therein. 

(2) Every notification under sub-section (1) shall give a brief description of the land. 

(3)  The  competent  authority  shall  cause  the  substance  of  the  notification  to  be  published  at  such 

places and in such manner as may be prescribed. 

4. Power to enter, survey, etc.—On the issue of a notification under sub-section (1) of section 3, it 
shall be lawful for any person authorised by the Central Government or by the State Government or the 
corporation which proposes to lay pipelines 1[or any mineral], and his servants and workmen. 

(a) to enter upon and survey and take levels of any land specified in the notification; 

(b) to dig or bore into the sub-soil; 

(c) to set out the intended line of work; 

(d) to mark such levels, boundaries and line by placing marks and cutting trenches; 

(e)  where  otherwise  survey  cannot  be  completed  and  levels  taken  and  the  boundaries  and  line 

marked, to cut down and clear away any part of any standing crop, fence or jungle; and 

(f) to do all other acts necessary to ascertain whether pipelines can be laid under the land:          

Provided that where exercising any power under this section, such person or any servant or workmen 

of such person shall cause as little damage or injury as possible to such land. 

5. Hearing of Objections.—(1) Any person interested in the land may, within twenty-one days from 
the date of the notification under sub-section (1) of section 3, object to the laying of the pipelines under 
the land. 

(2)  Every  objection  under  sub-section  (1)  shall  be  made  to  the  competent  authority  in  writing  and 
shall  set  out  the  grounds  thereof  and  the  competent  authority  shall  give  the  objector  an  opportunity  of 
being heard either in person of by a legal practitioner and may, after hearing all such objections and after 
making such further inquiry, if any, as that authority thinks necessary, by order either allow or disallow 
the objections. 

(3) Any order made by the competent authority under sub-section (2) shall be final. 

6.  Declaration  of  acquisition  of  right  of  user.—(1) Where no objections under sub-section (1) of 
section  5  have  been  made  to  the  competent  authority  within  the  period  specified  therein  or  where  the 
competent  authority  has  disallowed  the  objections  under  sub-section  (2)  of  that  section,  that  authority 
shall, as soon as may be 2[either make a report in respect of the land described in the notification under 
sub-section (1) of section 3, or make different reports in respect of different parcels of such land, to the 
Central  Government  containing  his  recommendations on  the  objections, together  with  the  record  of  the 
proceedings held by him, for the decision of that Government] and upon receipt of such report the Central 
Government  shall 3[,  if  satisfied  that  such  land  is  required  for  laying  any  pipeline  for  the  transport  of 
petroleum or any mineral,] declare, by notification in the Official Gazette, that the right of user in the land 
for laying the pipelines should be acquired. 3[and different declarations may be made from time to time in 
respect of different parcels of the land described in the notification issued under sub-section (1) of section 
3,  irrespective  of  whether  one  report  or  different  reports  have  been  made  by  the  competent  authority 
under this section]. 

1. Ins. by Act 13 of 1977, s. 6 (w.e.f. 3-2-1977). 
2. Subs. by s. 7, ibid., for “submit a report accordingly to the Central Government” (w.e.f. 3-2-1977). 
3. Ins. by s. 7, ibid. (w.e.f. 3-2-1977).  

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(2) On the publication of the declaration under sub-section (1), the right of user 1[in the land specified 

therein] shall vest absolutely in the Central Government free from all encumbrances. 

(3) Where in respect of any land, a notification has been issued under sub-section (1) of section 3 but 
2[no declaration in respect of any parcel of land covered by that notification has been published under this 
section] within a period of one year from the date of that notification, that notification shall cases to have 
effect on the expiration of that period. 

3[(3A) No declaration in respect of any land covered by a notification issued under sub-section (1) of 
section 3, published after the commencement of the Petroleum Pipelines (Acquisition of Right of User in 
Land)  Amendment  Act,  1977,  shall  be  made  after  the  expiry  of  three  years  from  the  date  of  such 
publication.] 

(4)  Notwithstanding  anything  contained  in  sub-section  (2),  the  Central  Government  may,  on  such 
terms and conditions as it may think fit to impose, direct by order in writing, that the right of user in the 
land for laying the pipelines shall, instead of vesting in the Central Government vest, either on the date of 
publication  of  the  declaration  or,  on  such  other  date  as  may  be  specified  in  the  direction,  in  the  State 
Government or the corporation proposing to lay the pipelines and thereupon the right of such user in the 
land shall, subject to the terms and conditions so imposed, vest in that State Government or corporation, 
as the case may be, free from all encumbrances. 

7.  Central  Government  or  State  Government  or  corporation  to  lay  pipelines.—(1)  Where  the 
right of user in any land has vested in the Central Government or in any State Government or corporation 
under section 6— 

(i)  it  shall  be  lawful  for  any  person  authorised  by  the  Central  Government  or  such  State 
Government or corporation as the case may be, and his servants and workmen to enter upon the land 
and lay pipelines or to do any other act necessary for the laying of pipelines: 

Provided that no pipeline shall be laid under— 

(a) any land which, immediately before the date of the notification under sub-section (1) of 

section 3, was used for residential purposes; 

(b)  any  land  on  which  there  stands  any  permanent  structure  which  was  in  existence 

immediately before the said date; 

(c) any land which is appurtenant to a dwelling house; or 

(d) any land at a depth which is less than one metre from the surface; 4*** 

5[(ia) for laying pipelines for the transport of petroleum, it shall be lawful for any person 
authorised by the Central Government or such State Government or corporation to use such 
land for laying pipelines for transporting any mineral and where the right of user in any land 
has  so  vested  for  laying  pipelines  for  transporting  any  mineral,  it  shall  be  lawful  for  such 
person to use such land for laying pipelines for transporting petroleum or any other mineral; 
and.] 

1. Subs. by Act 13 of 1977, s. 7, for “in the land” (w.e.f. 3-2-1977). 
2. Subs. by s. 7, ibid., for “no declaration under this section has been published”, (w.e.f. 3-2-1977). 
3. Ins. by s. 7, ibid.  (w.e.f. 3-2-1977). 
4. The word “and” omitted by s. 8, ibid. (w.e.f. 3-2-1977). 
5. Ins. by s. 8, ibid. (w.e.f. 3-2-1977). 

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(ii) such land shall be used only for laying the pipelines and for maintaining, examining, 
repairing,  altering  or  removing  any  such  pipelines  or  for  doing  any  other  act  necessary  for 
any of the aforesaid purposes or for the utilisation of such pipelines. 

(2) If any dispute arises with regard to any matter referred to in paragraph (b) or paragraph (c) of the 
proviso  to  clause  (i)  of  sub-section  (1),  the  dispute  shall  be  referred  to  the  competent  authority  whose 
decision thereon shall be final. 

8.  Power  to  enter  land  for  inspection,  etc.—For  maintaining,  examining,  repairing,  altering  or 
removing any pipelines, or for doing any other act necessary for the utilisation of the pipelines or for the 
making of any inspection or measurement for any of the aforesaid purposes, any person authorised in this 
behalf  by  the  Central  Government,  the  State  Government  or  the  corporation,  as  the  case  may  be,  may, 
after giving reasonable notice to the occupier of the land under which the pipelines has been laid, enter 
therein with such workmen and assistants as may be necessary: 

Provided  that,  where  such  person  is  satisfied  that  an  emergency  exists  no  such  notice  shall  be 

necessary: 

Provided further that, while exercising any powers under this section, such person or any workmen or 

assistant of such person, shall cause as little damage or injury as possible to such land. 

 9.  Restrictions  regarding  the  use  of  land.—(1) The owner or occupier of theland with respect to 
which a declaration has been made under sub-section (1) of section 6, shall be entitled to use the land for 
the  purpose  for  which  such  land  was  put  to  use  immediately  before  the  date  of  the  notification  under     
sub-section (1) of section 3: 

Provided  that,  such  owner  or  occupier  shall  not  after  the  declaration  under  sub-section  (1)  of       

section 6— 

(i) construct any building or any other structure; 

(ii) construct or excavate any tank, well, reservoir or dam; or 

(iii) plant any tree,  

on that land. 

(2) The owner or occupier of the land under which any pipelines has been laid shall not do any act or 
permit any act to be done which will or is likely to cause any damage in any manner whatsoever to the 
pipeline. 

1[(3)  Where  the  owner  or  occupier  of  the  land  with  respect  to  which  a  declaration  has  been  made 

under sub-section (1) of section 6,— 

(a) constructs any building or any other structure, or 

(b) constructs or excavates any well, tank, reservoir or dam, or 

(c) plants any tree,  

on  that  land,  the  Court  of  the  District  Judge  within  the  local  limits  of  whose  jurisdiction  such  land  is 
situate may, on an application made to it by the competent authority and after holding such inquiry as it 
may deem fit, cause the building, structure, reservoir, dam or tree to be removed or the well or tank to be 
filled up, and the costs of such removal or filling up shall be recoverable from such owner or occupier in 
the same manner as if the order for the recovery of such costs were a decree made by that Court.] 

1. Ins. by Act 13 of 1977, s. 9 (w.e.f. 3-2-1977). 

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10.  Compensation.—(1)  Where  in  the  exercise  of  the  powers  conferred  by  section  4,  section  7  or 
section 8 by any person, any damage, loss or injury is sustained by any person interested in the land under 
which  the  pipeline  is  proposed  to  be,  or  is  being,  or  has  been  laid,  the  Central  Government,  the  State 
Government or the corporation , as the case may be , shall be liable to pay compensation to such person 
for such damage, loss or injury , the amount of which shall be determined by the competent authority in 
the first instance. 

(2) If the amount of compensation determined by the competent authority under sub-section (1) is not 
acceptable  to  either  of  the  parties,  the  amount  of  compensation  shall,  on  application  by  either  of  the 
parties to the District Judge within the limits of whose jurisdiction the land or any part thereof is situated, 
be determined by that District Judge. 

(3)  The  competent  authority  or  the  District  Judge  while  determining  the  compensation  under         

sub-section  (1)  or  sub-section  (2),  as  the  case  may  be,  shall  have  due  regard  to  the  damage  or  loss 
sustained by any person interested in the land by reason of— 

(i) the removal of trees of standing crops, if any, on the land while exercising the power under 

section 4, section 7 or section 8; 

(ii) the temporary severance of the land under which the pipeline has been laid from other lands 

belonging to, or in the occupation of, such person; or 

(iii)  any  injury  to  any  other  property,  whether  movable or immovable  ,  or the  earnings  of  such 

persons caused in any other manner: 

Provided  that  in  determining  the  compensation  no  account  shall  be  taken  of  any  structure  or  other 

improvement made in the land after the date of the notification under sub-section (1) of section 3. 

(4) Where the right of user of any land has vested in the Central Government, the State Government 
or the corporation , the Central Government, the State Government or the corporation , as the case may 
be, shall, in addition to the compensation, if any, payable under sub-section (1), be liable to pay to the 
owner  and to  any  other  person  whose  right  of  enjoyment  in  that  land  has  been  affected  in any  manner 
whatsoever by reason of such vesting, compensation calculated at ten per cent. of the market value of that 
land on the date of the notification under sub-section (1) of section 3. 

(5) The market value of the land on the said date shall be determined by the competent authority and 
if  the  value  so  determined  by  that  authority  is  not  acceptable  to  either  of  the  parties,  it  shall,  on 
application by either of the parties to the District Judge referred to in sub-section (2), be determined by 
that District Judge. 

(6) The decision of the District Judge under sub-section (2) or sub-section (5) shall be final. 

11.  Deposit  and  payment  of  compensation.—(1)  The  amount  of  compensation  determined  under 
section 10 shall be deposited by the Central Government, the State Government or the corporation, as the 
case may be, with the competent authority within such time and in such manner as may be prescribed. 

(2) If the amount of compensation is not deposited within the time prescribed under sub-section (1), 
the Central Government, the State Government or the corporation, as the case may be, shall be liable to 
pay interest thereon at the rate of six per cent. per annum from the date on which the compensation had to 
be deposited till the date of the actual deposit. 

(3) As soon as may be after the compensation has been deposited under sub-section (1) the competent 
authority shall, on behalf of the Central Government the State Government or the corporation, as the case 
may be, pay the compensation to the persons entitled thereto. 

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(4)  Where  several  persons  claim  to  be  interested  in  the  amount  of  compensation  deposited  under    

sub-section (1),  the competent  authority  shall  determined  the  persons  who in  its  opinion  are  entitled  to 
receive the compensation and the amount payable to each of them. 

(5) If any dispute arises as to the apportionment of the compensation or any part thereof or as to the 
persons to whom the same or any part thereon is payable, the competent authority shall refer the dispute 
to the decision of the District Judge within the limits of whose jurisdiction the land or any part thereof is 
situated and the decision of the District Judge thereon shall be final. 

12.  Competent  authority  to  have  certain  powers  of  civil  courts.—The competent authority shall 
have, for the purposes of this Act, all the powers of a civil court while trying  a suit under the Code of 
Civil Procedure, 1908 (5 of 1908), in respect of the following matters, namely:— 

(a) summoning and enforcing the attendance of any person and examining him on oath; 

(b) requiring the discovery and production of any document; 

(c) reception of evidence on affidavits; 

(d) requisitioning any public record from any court or office; 

(e) issuing commission for examination of witnesses. 

13.  Protection  of  action  taken  in  good  faith.—(1) No  suit,  prosecution  or other  legal  proceeding 
shall lie against any person for anything which is in good faith done or intended to be done in pursuance 
of this Act or any rule or notification made or issued thereunder. 

(2)  No  suit  or  other  legal  proceeding  shall  lie  against  the  Central  Government,  the  competent 
authority or any State Government, or corporation for any damage, loss or injury caused or likely to be 
caused by anything which is in good faith done or intended to be done in pursuance of this Act or any rule 
or notification made or issued there under. 

14. Bar of jurisdiction of civil courts.—Save as otherwise expressly provided in this Act, no civil 
court shall have jurisdiction in respect of any matter which the competent authority is empowered by or 
under this Act to determine and no injunction shall be granted by any court or other authority in respect of 
any action taken or proposed to be taken in pursuance of any power conferred by or under this Act. 

1[15.  Penalty.—(1)  Whoever  wilfully  obstructs  any  person  in  doing  any  of  the  acts  authorised  by 
section 4 or section 7 or section 8 or wilfully fills up, destroys, damages or displaces any trench or mark 
made  under  section  4  or  wilfully  does  any  act  prohibited  under  section  9,  shall  be  punishable  with 
imprisonment for a term which may extend to six months or with fine or with both. 

(2)  Whoever  wilfully  makes  or  causes  to  make  any  unauthorised  connection  with  or  removes, 
destroys, damages or displaces any pipeline laid under section 7, or wilfully inserts any device to extract 
petroleum product or minerals from such pipeline, or wilfully disrupts supplies being made through the 
pipeline, shall be punishable with rigorous imprisonment for a term which may extend to ten years and 
shall also be liable to fine. 

 (3) If any person convicted of an offence under sub-section (2) is again convicted of an offence under 
the  same  provision,  he  shall  be  punishable  with  rigorous  imprisonment  for  the  second  and  for  every 
subsequent offence for a term which shall not be less than three years but which may extend to ten years: 

Provided that the court may, for any adequate and special reasons to be mentioned in the judgment, 

impose a sentence of imprisonment for a term of less than three years. 

1. Subs. by Act 9 of 2012, s. 2, for sections 15 and 16 (w.e.f. 3-2-1977). 

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(4) Whoever, with the intent to cause or knowing that he is likely to cause damage to or destruction of 
any pipeline laid under section 7, causes by fire, explosive substance or otherwise damage to the pipeline 
being used for transportation of petroleum products, crude oil or gas with the intent to commit sabotage or 
with the knowledge that such act is so imminently dangerous that it may in all probability cause death of 
any person or such bodily injury likely to cause death of any person, shall be punishable with rigorous 
imprisonment which shall not be less than ten years but may extend to imprisonment for life or death. 

16.  Certain  offences  to  be  cognizable.—Notwithstanding  anything  contained  in  the  Code  of 
Criminal Procedure, 1973 (2 of 1974), an offence falling under sub-sections (2), (3) and (4) of section 15 
shall be deemed to be cognizable and non-bailable within the meaning of that Code. 

16A.  Burden  of  proof  in  certain  cases.—Where  any  petroleum  product  together  with  any  tool, 
vehicle  or  any  item  used  in  committing  any  such  offence  under  sub-section  (2)  or  sub-section  (4)  of 
section 15 are seized under this Act in the reasonable belief that such petroleum product has been stolen 
from the pipeline laid under section 7, the burden of proving that they are not stolen property shall be, in 
case where such seizure is made from the possession of any person,— 

(i) on the person from whose possession the property was seized, and 

(ii) on the person who claims to be the owner thereof, if any person other than the person from 

whose possession the stolen property was seized. 

16B.  Presumption  regarding  property.—When  any  proceeding  taken  under  this  Act,  or  in 
consequence of anything done under this Act, a question arises as to whether any petroleum product is the 
property of the corporation, the Court shall presume, unless the contrary is shown, that such petroleum 
product belongs to the corporation. 

16C.  Provisions  as  to  bail.—(1)  Notwithstanding  anything  contained  in  the  Code  of  Criminal 
Procedure, 1973 (2 of 1974), no person accused of an offence punishable under sub-section (4) of section 
15 shall, if in custody, be released on bail or on his own bond unless— 

(a)  the  Public  Prosecutor  has  been  given  an  opportunity  to  oppose  the  application  for  such 

release; and 

(b)  where  the  Public  Prosecutor  opposes  the  application,  the  court  is  satisfied  that  there  are 
reasonable  grounds  for  believing  that  he  is  not  guilty  of  such  offence  and  that  he  is  not  likely  to 
commit any offence while on bail. 

(2) The limitations on granting of bail specified in sub-section (1) are in addition to the limitations 
under the Code of Criminal Procedure, 1973 (2 of 1974) or any other law for the time being in force on 
granting of bail. 

(3) Nothing contained in this section shall be deemed to affect the special powers of the High Court 

regarding bail under section 439 of the Code of Criminal Procedure, 1973 (2 of 1974). 

16D. Section 438 of the Code of Criminal Procedure, 1973 not to apply.—Nothing in section 438 
of  the  Code  of  Criminal  Procedure,  1973 (2  of  1974)  shall  apply  in  relation  to  any  case  involving  the 
arrest of any person on an accusation of having committed an offence punishable under sub-section (4) of 
section 15.] 

17. Power to make rules.—(1) The Central Government may, by notification in the Official Gazette, 

make rules for carrying out the 1[provisions] of this Act. 

1. Subs. by Act 13 of 1977, s. 10, for “purposes” (w.e.f. 3-2-1977). 

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(2)  In  particulars  and  without  prejudice  to  the  generality  of  the  foregoing  power,  such  rules  may 

provide for all or any of the following matters, namely:— 

(a)  the  places  at  which  and  the  manner  in  which  the  substance  of  the  notification  may  be 

published under sub -section (3) of section 3; 

(b) the time within which and the manner in which the amount of compensation may be deposited 

under sub-section (1) of section 11. 

(3) Every rule made under this Act shall be laid as soon as may be after it is made before each Houses 
of Parliament while it is in session for a total period of thirty days which may be comprised in one session 
or in two or more successive sessions, and if 1[before the expiry of the session immediately following the 
session or the successive sessions aforesaid], both Houses agree in making any modification in the rule or 
both  Houses  agree  that  the  rule  should  not  be  made,  the  rule  shall  thereafter  have  effect  only  in  such 
modified form or be of no effect, as the case may be; so however that any such modification or annulment 
shall be without prejudice to the validity of anything previously done under that rule . 

18.  Application  of  other laws  not  barred.—The provisions of this Act shall be in addition to and 

not in derogation of any other law for the time being in force relating to acquisition of land. 

1. Subs. by Act 13 of 1977, s. 10, for “before the expiry of the session in which it is so laid or the successive sessions aforesaid” 

(w.e.f. 3-2-1977). 

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